The UAE Online Grocery Delivery Market: Predicted to Register Nearly 22.6% CAGR Through 2024
As per the research report by Report Cube, the UAE Online Grocery Delivery Market was valued at USD 3.1 Billion in 2023 and is further estimated to grow at a CAGR of about 22.6% during the forecast period, 2024-32.
The UAE Online Grocery Delivery Market is predicted to grow in size with the high attraction of consumers & meeting household demands via the usage of interactive websites & online shopping applications with user-friendly interfaces. Major market players label similar or different products to raise customer awareness. From there, consumers can easily browse for the precise product they want. By adopting the online grocery option, one could avoid crowds & lengthy queues for parking & payment, making it one of the most convenient ways to shop for groceries.
The main factor propelling the market expansion in the UAE is consumers’ increasing preference for online shopping & e-commerce sites over traditional physical establishments like hypermarkets & supermarkets. The grocery store network & online grocery sellers in the country are working together to offer delivery from several locations. Further, to meet the needs of their clients, internet delivery platforms offer a wide range of products. Consumers might purchase any item at home, in the workplace, or at any location by implementing an online grocery delivery option, saving them the trouble of physically visiting the stores.
Moreover, the e-commerce industry witnessed tremendous growth in the UAE in 2023, especially in the food delivery sector. Customers who value convenience & prefer the ease of online buying are mostly responsible for driving market expansion. Furthermore, the UAE Online Grocery Industry is being driven by the availability of many grocery retailers on multiple online platforms. Also, a lot of people in the UAE are opting to purchase groceries online due to the population’s busy & demanding schedules & lifestyles. Hence, this shift illustrates how retail is changing in the UAE, as e-commerce steadily replaces offline stores due to changing consumer preferences.
Additionally, online grocery shopping appears to be experiencing a surge in the anticipated years due to better internet connectivity, greater availability of smart devices, and growing technology. Besides, the ease of browsing & purchasing meals via a mobile phone is one of the main factors affecting consumer behavior nowadays. Online grocery merchants must therefore ensure impeccable & user-friendly mobile shopping experience to remain competitive & meet the expectations of the tech-savvy customer base of the UAE. Hence, this would therefore aid in upsurging the market share in the future years, further states the research study, the UAE Online Grocery Delivery Market Analysis, 2024.
Analyzing the UAE Online Grocery Delivery Market Segmentation
Express Delivery to Dominate the UAE Online Grocery Delivery Market
By mode of payment, the UAE Online Grocery Delivery Market is bifurcated into: Cash on Delivery & Online Payment.
The Online Payment segment is seen to be quite popular across the UAE Online Grocery Market. As people across the region are usually not present at their houses or the location where they want the groceries to be delivered, therefore these online buyers value the pre-payment option. Additionally, buyers prefer online payment platforms because housekeepers perform most activities & typically receive the orders as well when the owner is not home. Thus, it is presumed that in the coming years, the Dubai Online Grocery Market would elevate.
The UAE Online Grocery Delivery Market Companies Analysis
With the strategic analysis & market study the leading companies, including Carrefour, Lulu Hypermarket, Instashop, Kibsons, El Grocer, Trolley.ae, Bawiq, Amazon, and Others (Noon, Farmbox, Nulkwhiz).